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Idea of the Day: How the Bipartisan Student Loan Certainty Act Would Help Borrowers

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This week the Senate will vote on the Bipartisan Student Loan Certainty Act, a bill written by Sen. Tom Harkin (D-IA), chairman of the Senate Health, Education, Labor and Pensions, or HELP, Committee. Sen. Harkin worked with Sens. Dick Durbin (D-IL), Joe Manchin (D-WV), Tom Carper (D-DE), Lamar Alexander (R-TN), Richard Burr (R-NC), Angus King (I-ME), and Tom Coburn (R-OK) to develop this bipartisan compromise, which would lower interest rates for the 11 million student-loan borrowers who either have taken out or will take out a new federal student loan after July 1, 2013.

Under the bill, interest rates in 2013 would be reduced immediately for all borrowers. The rates for undergraduate students and graduate students would drop to 3.86 percent and 5.4 percent, respectively, down from the current rate of 6.8 percent. The rate for parents and graduate students getting PLUS loans would also drop to 6.4 percent, down from the current 7.9 percent.

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Print: Allison Preiss (economy, education, poverty)
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Print: Tom Caiazza (foreign policy, health care, energy and environment, LGBT issues, gun-violence prevention)
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Print: Chelsea Kiene (women's issues, Legal Progress, Half in Ten Education Fund)
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Spanish-language and ethnic media: Tanya Arditi
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TV: Rachel Rosen
202.483.2675 or rrosen@americanprogress.org

Radio: Chelsea Kiene
202.478.5328 or ckiene@americanprogress.org

 

This is part of a regular column: Idea of the Day

For more from the same column, click here